a) The Minimum Pay Fixed at Rs.18000 by the 7th CPC is very much unjust and meager and ignores the accepted norms in this regard.

b) The Minimum wage of Rs.18000 proposed by 7th Pay Commission is based on Dr Aykroyed formula for Minimum Need Based Wage which was adopted by 15th Indian Labour Conference held in 1957. This needed to be updated as per present day requirements. As per law of natural justice and as per directions of the Supreme Court of India issued as long back as in 1991 in the case of Reputekos Brett & Co. Vs Workers & others.

c) Prescribed provision of 25% to cover education, recreation, festivals & medical expenses has been reduced to 15% by 7th CPC. Similarly provision for housing has been reduced from prescribed 7.5% to 3% which are totally inadequate, unjust and unrealistic.

d) In para 4.2.8, Step-1, 7th CPC indicated that a family is comprising of three consumption units, as per norms set by 15th Indian Labour Conference (ILC) in 1957.

e) Computing husband as one unit, wife as 0.8 unit and two children each below the age of 14 as 0.6 unit is very much inadequate and 15th ILC had not considered maintenance of aged parents.

f) Maintenance and Welfare of Parents and Senior Citizens Act, 2007 make it a legal obligation for children and heirs to provide maintenance to senior citizens and parents, by monthly allowance.

g) It is therefore, necessary that while calculating cost for maintenance household the aged parents should also be considered as 2 Units besdes the husband, wife, two Children as consumption units per family and the same should be taken at least as four (if not five) instead of three.

i) Minimum Pay works out to be Rs.24,000 (instead of Rs.18000 recommended by the 7th CPC) and the multiple factor 3.43 (instead of 2.57 recommended by the 7th CPC)

j) Table-1 of 7th CPC for calculation of minimum pay needs to be redrawn as under by keeping 4 consumption unit per family:

2. MINIMUM PLUS DA WITH 40% FIXATION BENEFIT

a) 40% fixation benefit was given over 4th CPC scale to 5th CPC scale in general to all the scales.

b) 40% of maximum of 5th CPC scale was given over 5th CPC scale as fixation benefit in general in 6th CPC scales.

c) But, only 14.29% (i.e even less than 15%) of basic pay has been given as fixation benefit is after the 7th CPC over 6th CPC pay, which is grievously inadequate.

d) Table-2 given below gives the comparison on fixation benefit given after 6th CPC & after 7th CPC.

e) The Multiple Factor of 2.57 proposed by the Pay Commission for Pay Fixation is totally unjust, inadequate and arbitrary especially keeping in view the high inflation (in real terms and wage rise in the organized sector including the PSUs after two revisions in PSUs since the Sixth CPC. The Fixation Benefit needs to be at least 40% – as after the last two Pay Commissions and the Common Multiple Factor may please be fixed at least (Pay+DA) + 40% of Pay + DA, ie. 3.15 times of 6th CPC basic pay.

Table -3 showing calculation of new pay which will be equal to Pay + Pay fixation benefit equal to 40% of 6th CPC Pay + DA

k) Minimum Pay works out to be Rs.22,100 (instead of Rs.18000 recommended by the 7th CPC) and the multiple factor 3.15 (instead of 2.57 recommended by the 7th CPC)

3. MINIMUM PAY BY MERGER OF DA EVERY TIME THE DA RISES BY 50%

a) Merger of DA with Pay & Pension was always done every time the DA crossed 50%, except after the Sixth Pay Commission and that norm justifiably needs to be restored.

b) Minimum Pay as on 1-1-2016 would be Rs.19,687 if DA was merged with Pay when the DA crossed 50% (from 1-1-2011) and when it crossed 100% even without any relief or fixation benefit of 7th CPC and the Minimum Pay would bebRs. 22,483 or say 22,500 with 14.29% of total emoluments Fixation benefit given by the 7th CPC (which itself was the lowest ever after any CPC) – as per detailed calculations submitted below:

c) Even if the Merger of DA was done only once after it crossed 50% (on 1-1-2011), Minimum Pay as on 1-1-2016 would have been Rs.18375 (without any relief or fixation benefit of CPC) and Rs.20984 or say Rs.21000 with 14.2% Fixation benefit given by the 7th CPC as per details below:

f) All the foregoing calculations of Minimum Pay and Fitment Factor are linked to only 14.2% rise of wages as inherent in the recommendations of 7th CPC – which is the lowest ever rise after a Pay Commission in recent years.

g) The minimum Pay may please be fixed as Rs.22500 and the multiple factor for revision of Pay and Pension may please be fixed as 3.21.

c) Minimum Pay may please be fixed as Rs.22500 and the multiple factor for revision of Pay and Pension may please be fixed as 3.21, by merging the DA with Pay whenever it crossed 50% with fixation benefit of 14.2% equitant to the rise recommended by 7th CPC.

Comments

The arguments put forth is well justified. But the govt is not in a position to accept any logical points. Now a days not talking at all by govt. only the govt supported unions to raise the points, which they will never do for their positions and favors.

In 6th cpc pay fixed to level 9, PB-2. Now the pay slip of August, 2016 shows the level -7, index-5. The news shows about merger grade pay and hike to next grate pay.But the present pay slip have no such changes. So if the pay fixation will continue in such manner then our rank will suffer again. Is it will be continue or change? We do not want to waste the time and money by knoc k the court. But it does not mean that we are habitual to accept all negligency with our rank. We give the same job with low cost but this pay fixation doesn’t shows beneficial and treat the same as 6cpc. I have a little hope that 7cpc will judge our past ( 4th and 5th cpc) scale and will get back our own place. Hope it will be corrected and checked before implant. It will be great pleasure to enjoy our work more efficiently by gives us our place to moral up.